{"id":"in-karnataka","country":"in","kind":"state","name":{"en":"Karnataka","local":"ಕರ್ನಾಟಕ"},"languages":["kn","en","hi","te","ta","ur"],"currency":"INR","symbol":"₹","fxPerUsd":94,"cities":{"T1":"Bengaluru","T2":"Mysuru","T3":"Gadag"},"basket":{"teaCup":15,"simpleMeal":80,"haircutMen":120,"milkLitre":48,"breadLoaf":45,"unskilledDayWage":750,"minWageMonthly":21251,"shopRentSqftMonth":{"T1":130,"T2":55,"T3":25},"electricityCommercialKwh":9.4,"lpgCommercialCylinder":2898,"petrolLitre":110.8},"tax":{"salesTax":"GST 5/18% (national, GST 2.0 slabs from 22 Sep 2025)","smallBizThreshold":"₹40 lakh goods / ₹20 lakh services (national; Karnataka is a normal-category state)","localLevies":"Professional tax ₹200/month above ₹25,000 salary (max ₹2,400–2,500/yr); trade licence from city corporation (GBA in Bengaluru)"},"licences":[{"name":"Shop & Establishment registration (Karnataka Shops & Commercial Establishments Act 1961), e-Karmika portal","fee":"₹405 (no employees), ₹810 (1–9 staff), ₹5,400 (10–19); valid 5 years; within 30 days of opening","authority":"Labour Department","source":"https://www.india-briefing.com/news/karnataka-shops-commercial-establishments-act-compliance-45479.html/"},{"name":"Trade licence (Greater Bengaluru Authority, ex-BBMP; other city corporations/municipalities elsewhere)","fee":"By trade and area; 1–5 year validity, fee × years; renewal window 1–28 Feb, 100% penalty from 1 Apr; 60% Kannada nameboard is a renewal condition","authority":"Greater Bengaluru Authority / urban local body","source":"https://calcguru.in/?p=5213"}],"festivals":[{"name":"Kannada Rajyotsava","dates2026_27":"1 Nov 2026","effect":"State holiday; flag/merchandise sales, many offices shut; Kannada-signage enforcement drives peak around it"},{"name":"Deepavali","dates2026_27":"about 8 Nov 2026","effect":"Sweets, clothes, electronics, gifting up for 2–3 weeks; Diwali day itself slow for services"},{"name":"Christmas / New Year","dates2026_27":"25 Dec 2026 – 1 Jan 2027","effect":"Bengaluru bakeries, cafés, pubs peak; NYE late-night trade"},{"name":"Makara Sankranti","dates2026_27":"14–15 Jan 2027","effect":"Ellu-bella (sesame-jaggery), sugarcane, sweets up; a 1-day holiday"},{"name":"Ramzan / Eid al-Fitr","dates2026_27":"about 8 Feb – 10 Mar 2027","effect":"Evening food streets (Frazer Town, Shivajinagar) 2–3× for a month; Eid holiday"},{"name":"Ugadi (Kannada/Telugu New Year)","dates2026_27":"about 8 Apr 2027","effect":"New clothes, mango leaves, holige/obbattu; a big shopping day"},{"name":"Ganesha Chaturthi","dates2026_27":"about 4 Sep 2027","effect":"Idols, flowers, sweets spike; immersion-day road closures"},{"name":"Mysuru Dasara","dates2026_27":"about 30 Sep – 9 Oct 2027","effect":"Mysuru tourism peak, street-food and hotels 2–3×; Ayudha Puja shop worship day"}],"seasons":[{"months":"Mar–May","what":"Summer; Bengaluru mild (33–36°C) but north Karnataka 40°C+; cold drinks, juice up; water tanker costs rise"},{"months":"Jun–Sep","what":"South-west monsoon: very heavy on the coast and Malnad, moderate in Bengaluru; footfall dips on rain days"},{"months":"Sep–Nov","what":"Bengaluru's wettest spell; flash flooding in low-lying areas closes shops for hours"},{"months":"Dec–Feb","what":"Dry, pleasant; peak tourism (Hampi, Mysuru, Coorg) and weddings"}],"payments":{"digitalShare":"very high in Bengaluru (UPI near-universal in shops; ~60–80% of small-ticket by count, Est.); lower in north-Karnataka towns (~35–50%, Est.)","credit":"udhaar common in kiranas outside Bengaluru; Bengaluru apartment-cluster shops run monthly accounts"},"notes":"Karnataka splits into two economies: Bengaluru, a high-wage, high-rent, near-cashless tech metro where quick commerce competes hard with kiranas, and a much cheaper, agrarian rest of state. The big 2026 difference is labour cost: the 22–25 May 2026 notification raised scheduled minimum wages by up to 60% (about ₹23,376/month for an unskilled worker in Bengaluru), the highest legal floor in South India, though employers are challenging it and the government has paused revision for its own departments. Shops must also put 60% Kannada on nameboards to renew trade licences, power carries two 2026-27 surcharges, and petrol is about ₹111 because of state VAT plus the 2026 oil shock.","factors":[{"id":"P01","cat":"Wages","name":"Minimum wage, unskilled, Bengaluru (May 2026 notification)","value":"₹23,376/month (CM statement; up to ₹31,114 highly skilled); up to 60% rise across 81 scheduled employments","role":"HV","source":"https://thesouthfirst.com/karnataka/karnataka-government-increases-minimum-wage-of-workers-across-81-scheduled-employments/","estimate":false},{"id":"P02","cat":"Wages","name":"Minimum wage, unskilled, Mysuru (Zone 2) used for T2","value":"₹21,251/month","role":"HV","source":"Est.: India Briefing's three-zone table lists 25,714 / 23,376 / 21,251 for unskilled, but the CM says Bengaluru unskilled is ₹23,376, so the table appears shifted one zone; Zone 2 taken as ₹21,251 — https://www.india-briefing.com/news/karnataka-shops-commercial-establishments-act-compliance-45479.html/","estimate":true},{"id":"P03","cat":"Wages","name":"Pre-May-2026 shops floor (VDA-only revision, 1 Apr 2026)","value":"Zone 1 unskilled ₹16,137, skilled ₹18,570, highly skilled ₹19,973/month (VDA ₹4,549/month)","role":"HV","source":"https://www.greythr.com/wiki/acts/","estimate":false},{"id":"P04","cat":"Wages","name":"Typical informal shop helper pay","value":"Bengaluru ₹14k–20k; Mysuru ₹10k–14k; small towns ₹8k–12k/month","role":"HV","source":"Est.: national kirana presets (T1 ₹12–18k) lifted for Bengaluru's tight labour market; most tiny shops pay below the new legal floor","estimate":true},{"id":"P05","cat":"Wages","name":"Casual unskilled day wage, T2","value":"₹750/day","role":"HV","source":"Est.: between the old floor (₹16,137/26 ≈ ₹620) and new Zone 2 floor (₹21,251/26 ≈ ₹817)","estimate":true},{"id":"P06","cat":"Wages","name":"Legal challenge to the 2026 wage notification","value":"Employers argue it was issued under the repealed Minimum Wages Act and breaches a 28 Jul 2025 HC order; Finance Dept told govt departments to withhold revision pending Cabinet","role":"RE","source":"https://deccanherald.com/india/karnataka/karnataka-fd-tells-govt-departments-to-withhold-minimum-wages-revision-4098085","estimate":false},{"id":"P07","cat":"Rent","name":"Shop rent T1 Bengaluru (neighbourhood shop)","value":"₹130/sq ft/month (prime high streets ₹176–326 in 2025, up to ₹800 on top corridors)","role":"HV","source":"Est. from https://apparelresources.com/business-news/retail/apparel-drives-25-retail-leasing-top-7-cities/ (ANAROCK 2025 high-street ₹176–326) and https://therealtytoday.com/news/trt-data-lab/india-real-estate-horizons-retail-september-2026 ; neighbourhood shops priced well below high streets","estimate":true},{"id":"P08","cat":"Rent","name":"Shop rent T2 Mysuru","value":"₹55/sq ft/month","role":"HV","source":"Est.: national T2 band ₹40–67/sq ft (₹6k–20k for 150–300 sq ft, business notes), Mysuru mid-band","estimate":true},{"id":"P09","cat":"Rent","name":"Shop rent T3 Gadag","value":"₹25/sq ft/month","role":"HV","source":"Est.: national T3 band ₹13–27/sq ft","estimate":true},{"id":"P10","cat":"Rent","name":"High-street rent growth","value":"Indiranagar 100 Ft Road +12% YoY (Q2 2026); national prime +5.1% YoY","role":"HV","source":"https://www.cushmanwakefield.com/en/india/news/2026/07/india-retail-sector-growth-in-q2-2026","estimate":false},{"id":"P11","cat":"Energy","name":"Commercial electricity (LT-3), effective","value":"≈₹9.4/kWh incl. surcharges","role":"HV","source":"Est.: base LT-3 energy charge ~₹8.5 under KERC MYT 2025-28 (exact 2026-27 schedule not retrieved) + 35 paise pension/gratuity surcharge for 2026-27 + 56 paise FY25 true-up from May 2026 — https://newskarnataka.com/bengaluru/bengaluru-power-bills-to-rise-moderately-with-new-charges/18042026/","estimate":true},{"id":"P12","cat":"Energy","name":"Commercial LPG 19 kg, Bengaluru","value":"₹2,898 (1 Oct 2026)","role":"HV","source":"https://www.goodreturns.in/news/lpg-gas-cylinder-prices-hiked-october-1-2026-19-kg-commercial-lpg-prices-up-rs-62-71-50-city-wise-1538497.html","estimate":false},{"id":"P13","cat":"Energy","name":"Petrol / diesel, Bengaluru","value":"Petrol ₹110.82, diesel ₹98.78 per litre (Oct 2026)","role":"HV","source":"https://www.thehansindia.com/business/petrol-and-diesel-prices-today-in-hyderabad-delhi-chennai-and-mumbai-on-18-october-2026-1133517","estimate":false},{"id":"P14","cat":"Licences","name":"Shop & Establishment registration fee","value":"₹405 (no staff), ₹810 (1–9), ₹5,400 (10–19); 5-year validity; register within 30 days","role":"PD","source":"https://www.india-briefing.com/news/karnataka-shops-commercial-establishments-act-compliance-45479.html/","estimate":false},{"id":"P15","cat":"Licences","name":"Working-hour rules (S&E Act)","value":"9 h/day, 48 h/week, OT at 2×; 1 weekly holiday; proposal for 10 h/day not passed","role":"HV","source":"https://www.india-briefing.com/news/karnataka-shops-commercial-establishments-act-compliance-45479.html/","estimate":false},{"id":"P16","cat":"Licences","name":"Trade licence, Bengaluru (GBA)","value":"Fee by trade/area; validity 1–5 years; renew 1–28 Feb penalty-free; 100% penalty from 1 Apr","role":"PD","source":"https://calcguru.in/?p=5213","estimate":false},{"id":"P17","cat":"Rules","name":"Kannada nameboard rule","value":"At least 60% of nameboard in Kannada for trade licence issue/renewal; rest any language","role":"HV","source":"https://www.deccanherald.com/amp/story/india%2Fkarnataka%2Fbengaluru%2Ftrade-licence-only-for-shops-providing-60-space-for-kannada-on-nameboard-3372185","estimate":false},{"id":"P18","cat":"Tax","name":"Professional tax","value":"Nil up to ₹25,000/month salary; ₹200/month above (₹2,400–2,500/yr cap)","role":"HV","source":"https://hrone.cloud/blog/professional-tax-slab-rates-2026-27/","estimate":false},{"id":"P19","cat":"Tax","name":"GST and FSSAI","value":"National rules apply unchanged (GST 2.0; FSSAI basic registration to ₹1.5 crore from 1 Apr 2026)","role":"HV","source":"https://www.fssai.gov.in/upload/advisories/2026/03/69c6a23234827order_27032026.pdf","estimate":false},{"id":"P20","cat":"Festivals","name":"Kannada Rajyotsava","value":"1 Nov; state holiday; signage enforcement drives","role":"HV","source":"Est.: fixed state holiday","estimate":true},{"id":"P21","cat":"Festivals","name":"Mysuru Dasara","value":"10 days ending Vijayadashami (about 9 Oct 2027); Mysuru food/hotel demand 2–3×","role":"HV","source":"Est.: annual event; multiplier from national festival matrix (mela 1.5–3×)","estimate":true},{"id":"P22","cat":"Festivals","name":"Ugadi","value":"About 8 Apr 2027; clothes/sweets shopping peak","role":"HV","source":"https://publicholidays.in/tamil-nadu/","estimate":false},{"id":"P23","cat":"Festivals","name":"Eid al-Fitr and Ramzan evenings","value":"Eid about 10 Mar 2027; month-long evening food markets","role":"HV","source":"https://www.calendarlabs.com/bank-holidays-in-tamil-nadu-2027/","estimate":false},{"id":"P24","cat":"Climate","name":"Bengaluru urban flooding","value":"Sep–Nov downpours flood low-lying roads; shops lose 1–2 trading days a few times a season","role":"RE","source":"Est.: recurring pattern (2022, 2024 floods); probability ~3–5 events/yr in T1","estimate":true},{"id":"P25","cat":"Climate","name":"North Karnataka summer heat","value":"Kalaburagi/Raichur 42–45°C Apr–May; afternoon footfall −20–40%","role":"HV","source":"Est.: IMD climatology; multiplier from national summer matrix","estimate":true},{"id":"P26","cat":"Climate","name":"Bengaluru summer water shortage","value":"Tanker prices double in drought years (2024 precedent); hits salons, car washes, eateries","role":"RE","source":"Est.: 2024 Bengaluru water crisis precedent; ~1 in 4 years","estimate":true},{"id":"P27","cat":"Payments","name":"Digital payment share","value":"Bengaluru shops ~60–80% UPI by count; T3 ~35–50%","role":"HV","source":"Est.: national UPI 86.8% retail volume, tiered by ticket size per shared constants; Bengaluru SVANidhi borrowers only ~1 in 3 UPI-active — https://www.deccanherald.com/amp/story/india%2Fkarnataka%2Fbengaluru%2Fonly-1-in-3-street-vendors-who-got-loans-under-pm-scheme-use-upi-shows-bbmp-data-2791996","estimate":true},{"id":"P28","cat":"Prices","name":"Packet milk (Nandini toned)","value":"≈₹48/L","role":"HV","source":"Est.: ₹48 toned in Apr 2025 (Aavin chairman comparison); no 2026 Nandini revision found — https://www.magzter.com/hi/stories/newspaper/The-New-Indian-Express-Tiruchy/AAVIN-IS-THE-CHEAPEST-COOPERATIVE-MILK-BRAND-IN-COUNTRY-SAYS-RAJA-KANNAPPAN","estimate":true},{"id":"P29","cat":"Prices","name":"Tea / coffee in a darshini","value":"₹15–20 Bengaluru after Apr 2025 hike (₹15→18; some ₹20→25); Mysuru ~₹15","role":"HV","source":"https://www.magzter.com/nb/stories/newspaper/The-New-Indian-Express-Bengaluru/BREW-SHOCK-YOUR-CUP-OF-CHEER-TO-GET-DEARER-AS-HOTELS-HIKE-TEA-COFFEE-RATES","estimate":false},{"id":"P30","cat":"Prices","name":"Simple meal (darshini meals/thali), T2","value":"₹80","role":"HV","source":"Est.: Mysuru darshini meals ₹70–100; Bengaluru ₹100–150","estimate":true},{"id":"P31","cat":"Prices","name":"Men's haircut, T2","value":"₹120 (Bengaluru ₹150–250)","role":"HV","source":"Est.: national salon pack midpoints adjusted for state wages","estimate":true},{"id":"P32","cat":"Prices","name":"Filter coffee as a staple","value":"Coffee sells alongside tea at nearly every stall; coffee powder price is a second input","role":"HV","source":"Est.: regional consumption pattern; Karnataka grows ~70% of India's coffee","estimate":true},{"id":"P33","cat":"Market","name":"Per-capita income","value":"≈$5,579 (2025-26, nominal), highest among major states; ₹3,80,906 NSDP per capita FY25","role":"HV","source":"https://telanganatoday.com/telangana-enters-world-banks-upper-middle-income-category-ranks-third-in-per-capita-income","estimate":false},{"id":"P34","cat":"Market","name":"Urbanisation","value":"38.7% urban (Census 2011; Bengaluru UA ~13–14 million now)","role":"HV","source":"Est.: Census 2011 figure (old); https://censusindia.gov.in/","estimate":true},{"id":"P35","cat":"Market","name":"Quick-commerce pressure","value":"Strongest in Bengaluru (top-8 metro grocery e-com share ~19%, +1 pp/quarter); weak outside","role":"HV","source":"https://hdfcsky.com/news/quick-commerce-is-quietly-killing-indias-kirana-store-model-gaining-1percent-share-quarterly-in-top-me","estimate":false},{"id":"P36","cat":"Language","name":"Languages of trade","value":"Kannada official; Bengaluru shops also use English, Hindi, Tamil, Telugu; Urdu in older quarters","role":"HV","source":"Est.: language profile (Census 2011)","estimate":true},{"id":"P37","cat":"Rules","name":"Plastic carry-bag ban","value":"Single-use plastic carry bags banned (state ban 2016 + national SUP ban 2022); periodic fines on shops","role":"RE","source":"Est.: Karnataka 2016 notification and 2022 national SUP rules; enforcement drives ~1–2/yr","estimate":true},{"id":"P38","cat":"Schemes","name":"Gruha Lakshmi cash transfer","value":"₹2,000/month to women household heads (guarantee scheme) supports local consumer spending","role":"HV","source":"Est.: state guarantee scheme in force since 2023; payment delays reported","estimate":true},{"id":"P39","cat":"Schemes","name":"Shakti free bus travel for women","value":"Free state bus travel raises footfall in town markets and temple towns","role":"HV","source":"Est.: state guarantee scheme since Jun 2023","estimate":true},{"id":"P40","cat":"Risk","name":"Bandh / language agitation","value":"Statewide bandhs (Cauvery water, Kannada issues) shut shops 1 day; ~1–2 per year","role":"RE","source":"Est.: Cauvery bandh precedents (Sep 2023)","estimate":true},{"id":"P41","cat":"Risk","name":"Wage-floor enforcement drive","value":"If the May 2026 floor survives court, inspections could hit small shops paying ₹10–15k","role":"RE","source":"Est.: follows from P01/P06","estimate":true},{"id":"P42","cat":"Market","name":"FX used for USD conversion","value":"₹94 per USD (Est.)","role":"HV","source":"Est.: rupee fell ~5.4% Jan–Mar 2026 from about ₹90 (https://thewire.in/economy/in-wake-of-depreciating-rupee-foreign-remittances-to-kerala-remain-unaffected-despite-west-asia-crisis)","estimate":true}]}